Call us now:
A nice article that explains the potential effects of the SEC final cyber rule on D&O and Cyber insurance, registrants regulatory compliance and risk transfer.
Complexities and issue will start to unfold over the coming months as registrants, the insurance industry and investors aim to understand the final rule, compliance and economic risk transfer.
‘As a result of the cybersecurity risk management and governance disclosure requirements, registrants are almost certain to face more lawsuits alleging breach of duty or oversight claims. Now that plaintiffs’ lawyers will have access to public companies’ cybersecurity risk management and governance disclosures, there is likely to be an increase in claims alleging registrants failed to prevent “material†cybersecurity incidents because their cybersecurity risk management and governance practices were inadequate.’
As there is more clarity over the effect of the ruling, D&O and cyber insurance and the increased legal risks associated with the ruling. One suspect that covered registrants will re-evaluate their cyber risks, risk mitigation and compliance. One also suspects that responsible executives, including CISOS will be re-evaluating the effects of the final rule on D&O insurance and their personal liabilities.
As a Counsel Appointed cyber expert and witness. If you have any questions about the final ruling, its effects on corporate governance and compliance please contact me. We will be publishing an evaluation of the final cyber rule on the 4th September.
Ted Dziekanowski Rachel V. Rose, JD, MBA Bob Dix
#cybersecurity #cyberriskmanagement #cyberinsurance #directorsandofficers
View Original Post
https://www.linkedin.com/feed/update/urn%3Ali%3Ashare%3A7104075158495064064